An aerial image of xAI’s data center in southwest Memphis. (Courtesy Steve Jones Flight by Southwings for the Southern Environmental Law Center)

An air emissions construction permit awarded to xAI received lopsided approval from the Shelby County Air Pollution Control Board during a seven-hour, at times heated, hearing at the University of Memphis on Monday, Dec. 15. The meeting, attended by hundreds in the morning and dozens in the afternoon, featured robust public comments.

The 6-1 vote by the board ends an appeal by the NAACP and Young, Gifted & Green. Both were represented by the Southern Environmental Law Center. A motion to dismiss the appeal was filed by xAI and the Shelby County Health Department.

The Shelby County Health Department granted the permit in July, allowing for the construction of 15 permanent natural gas turbines to power the xAI Colossus data center located in southwest Memphis.

More than 30 temporary gas turbines had also powered the operation under a 364-day exemption prior to the air emissions construction permit being issued. SELC lawyers argued that the temporary turbines operated illegally without permits and, as a result, the permits for the permanent turbines should be delayed.

Nevertheless, the removal of the temporary turbines weighed in xAIโ€™s favor. A majority of board members agreed with the companyโ€™s legal counsel, Daniel Van Snow. The Butler Snow attorney argued that current regulations governing their use are ill-defined. The Environmental Protection Agency is studying the matter.

โ€œItโ€™s clear as mud as to what the law is in regard to temporary turbines,โ€ Van Snow said.

The SCHDโ€™s attorney from Baker Donelson, David Ayliffe, agreed that the regulations are shrouded in ambiguity. However, during several discussions with the EPA, the health department was informed that permits arenโ€™t required for temporary turbines.

โ€œThe department got it right. It correctly decided that the temporary constructive combustion turbines did not require a permit, and it correctly issued a permit to CTC for the remaining permanent turbines and subjected them to stringent monitoring and air conditioning control requirements,โ€ Ayliffe said.

After the vote, SELC lawyers said the decision was โ€œa dismissal without consideration of the law on the merits.โ€

Voting in favor of approving the permit were Doris Boyd, David La Velle, Gideon Sarpong, Randy Womack, Robert Rogers and Steve Sheridan. L. Yu Lin was the only no vote. Members of the board are appointed by the mayors of the city of Memphis and Shelby County.